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IMF funds suspended due to political crisis

The spokesperson for the International Monetary Fund (IMF) Gerry Rice has confirmed to the Sunday Morning newspaper that the IMF programme with Sri Lanka has been put on hold due to the current political crisis in the country.

"The programme is currently on hold pending further clarity on the political situation", Rice said.

Sri Lanka's 3 year extended arrangement under the IMF was approved in June 2016, to the amount of USD 1.5 billion at the time of approving the arrangement.

Sri Lanka's IMF funding is conditional upon implementing key economic reforms such as the fuel pricing formula and tax reforms.

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